There are some important questions to ask before buying condos. Doing so is sometimes hard, especially for first-time home buyers, but our condo specialist Realtors® can help.
These questions include:
- What is the monthly assessment and what does it cover? To budget, you need to know the monthly fee and exactly what you are getting for it.
- What are the rules and regulations? Condominium rules can prohibit pets, your ability to rent out the unit, and renovate. Carefully review the rules and regulations, and have your attorney do the same. This includes the master deed, declaration of trust/by-laws, covenants, unit deed and floor plans to ensure compliance with state laws and other guidelines.
- How much money is in the capital reserve account and how much is funded annually? The capital reserve fund is for major repairs such as roofs and heating and air conditioning. Generally, the fund should contain at least 10 percent of the annual revenue budget—more for older developments. If it is poorly funded, a special assessment is more likely. Ask to see the last two years’ budgets, current reserve account funding level and any capital reserve study.
- Are special assessments pending or being considered? Special assessments are one-time fees for capital improvements payable by every unit owner. You need to know if you are buying a special assessment with your unit, because they can be costly. Reviewing the last two years of condo meeting minutes is a good way to see what the issues are.
- Does the condo association manage itself or have a professional management company? There are pros and cons to each avenue.
Other questions to ask before buying a condo include:
- Is the condo involved in any pending legal actions? In most states, you can search court databases to see if there have been any lawsuits. Legal disputes can lead to fee increases if the condo association is fined.
- How many units are owner-occupied? A large percentage of rented condos can create unwanted noise and neighbor issues, as well as re-sale and financing issues because Fannie Mae and FHA condominium regulations limit owner-occupancy rates.
- What is the condominium fee delinquency rate? A rate exceeding 15 percent could signal financial trouble, according to Fannie Mae and FHA.
- Do condo owners have exclusive rights to use common areas such as porches, decks, storage spaces and parking spaces? Knowing what areas are your responsibility is important, especially regarding maintenance and repairs.
One more question to ask before buying a condo is: “What does the Master Insurance Policy cover?” Usually, only common areas are covered so buyers should buy condo insurance to protect their belongings and the interior of the condo.
When purchasing a property, it is always important for the buyer to make sure that the seller signs and fills out the Residential Real Property Disclosure Report. This is a disclosure that is meant for the seller to reveal any material defects in the residence that the seller is aware of. Even if the property is being sold “As is” the seller is still required to disclose any known problems and/or defects with the property.
Some of the defects may include (but are not limited to) flooding or leaking, foundation cracks, plumbing defects, unsafe drinking water, and/ or defects in the heating or air systems. Also, any known chemical hazards, lead based paint hazards and/or asbestos. Defects can also include boundary or lot line disputes.
The Residential Real Property Disclosure Act supports the Residential Real Property Disclosure Report and also goes further in detail. The Act defines the terms used in the Report. For instance, Residential Real Property refers to any property with no less than one and no more than four residential dwelling units, units in cooperatives, or condo units. The buyer can read the act for better clarification of the report.
This report is to be filled out by someone who lives in the property and that would have proper knowledge of the property's condition. The report is not used in all cases. For instance, if the property is part of a decedent's estate, and you are the executor of the will and have only been to the property a handful of times, then you may not know or understand what the condition of the property may be. In this case, a residential real property report does not need to be filled out.
It is the responsibility of the listing agent to make sure that the seller fills out the Residential Real Property Disclosure Report. The agent is not to fill it out and then have the client just sign. When the seller completes the report and signs it, it creates a legal obligation on the seller. If the seller is uncomfortable filling out the report, he/she may contact an attorney.This report is not to be underestimated. The completion and honesty in this report could make or break a deal. As a seller, it is to your best interest to fill the report to the best of your knowledge. As a purchaser, it is important to review this form and make sure there are no serious defects in the property that would potentially be dangerous and expensive to fix.
You have found the condo of your dreams and are ready to buy but hold on. You need to do some homework before you buy and find the perfect condo specialist. Not every real estate agent is a condominium specialist, in fact there are not that many. Your condo specialist can help you in many ways from showing you the properties in which you are interested all the way to getting the offer accepted and closing on that place you always wanted. But hold on, there are a lot of things to think about.
Buying a condo is different from most single family homes because they have an association which can mean living in a pleasant environment or that nightmare you often hear about but your condo specialist can help you make the right decision. In regards to the condo association most people don’t think about the association board meetings. This is where you can find out about all about what the owners may be complaining about from the plumbing to the gardener’s absence. By getting a copy of the minutes of the association board meeting you will be able to tell what gripes the owners have and if the complex is having management difficulties. Even if there are no complaints the minutes can tell you the types of projects that are under way or on tap that the owner may have neglected to tell you. The minutes will also tell you the delinquency rates of the present owners which can be a sign of discontent or an indication the association might be underfunded.
When you are buying a single family home many people can do without an attorney but there is so much more involved when buying a condo. Contact a local real estate lawyer who is familiar with condo associations and have them look over the by-laws. Simple areas to investigate are if the association by-laws are consistent with state laws and do they coincide with the style of condo complex. Your lawyer can also screen the association at the local courthouse to see if any owners may have filed a lawsuit against it.
Finding the right condo specialist can be easy. Go online and find the real estate company in your area who specializes in listing and selling condos. Their website should have a plethora of information regarding all the ins and outs of buying or selling your condo.
Purchasing a home always involves reading through the contract and signing on the dotted lines. Most people that purchase a home, surprisingly do not read through the whole contract. They just seem to trust the fine print and the person guiding them through it. Most contracts are pretty standard and most people have a general idea what it contained. When reading through a contract, it is a good idea to know not only what the contingencies are, but also what they mean.
In every contract, there should be an attorney review. Typically the period is 3-5 days on a standard contract. This period is intended to give the buyer an opportunity to secure an attorney and have the attorney look over the contract. The attorney has the right to accept the contract as is or write in some modifications to the contract. The contract is still considered an offer at this point so if they modifications are not accepted then the offer becomes null and void. It is always a good idea to have an attorney review the contract before moving forward on a large purchase such as a home. This review period is put in place to protect the buyer and also to allow the buyer to rescind on the offer if need be.
Another contingency that can be found on a contract is the financing contingency. The amount of days the buyer has to secure a loan can vary per contract. The buyer has the responsibility to try to not only get pre-approved but also obtain a loan commitment letter as well. This loan commitment letter locks in a rate for a guaranteed period of time and also proves the buyer can qualify for the purchase of the home. If the buyer is unable to obtain financing for the home than the contract becomes null and void and all earnest money (if any) is returned. This contingency is put in place to protect the buyer and the seller.
The inspection contingency is not found on all contracts but it is a good thing to have on a contract. Inspections can make or break a deal. If the inspection does not go well then the buyer and seller have a few options. They can come to an agreement to either fix the problems or take more money off the offer so that they buyer can fix the items on their own or If the buyer does not want to fix the issues or the problems are too serious, than again the buyer has a right to rescind the offer.
There are a few other optional contingencies on a contract, such as a house to sell contingency. This is put in place if a buyer has to sell their home before the purchase of the new home. If someone else is interested in the property and they put an offer on the place without the house to sell contingency, then the buyer with the contingency typically has 72 hours to purchase the home.
If you are not familiar with Real Estate, then you may not understand what is involved in a listing presentation. Although listing presentations may vary by Realtor, there is a list of things that should be covered in the presentation. Some of these items include explaining how the agent will prepare the property in order to market it, going over what marketing strategies will be used to inform the general public that the property is listed, and going over the listing agreement and explaining what it means. It is also a good idea for the Realtor to explain what happens after the listing agreement is signed.
It is important for the Realtor to prepare the property in order to market it. During the listing presentation the Realtor should make sure that the home is clean and if repairs and/or improvements are needed, that they are taken care of. The Realtor may suggest trimming trees, adding some landscaping or painting some walls. The idea is to make the property as attractive as possible. Once the property is ready, then the Reator will want to come over and take pictures of the property. He/she will also want to take measurements of all the rooms and gather the information needed to list the property on the MLS. Once the necessary information is gathered, the Realtor will want do a competitive market analysis to see what would be the best price to market the property.
The Realtor will want to explain to the seller how he/she will be marketing the property. The agent will explain what websites, signs, open houses and/ or other forms of marketing that will be used. It is important for the seller to understand the efforts the Realtor will make in order to sell the property.
After the Realtor explains what mediums will be used to market the property he/she will want to sit down with the sellers/owners and go over the listing agreement. The Realtor will go over all the details of the agreement and have the sellers sign and initial where needed. This is also the time where the agent will guide the sellers as to what price would be the best to market the property. The agent will use his or her expertise and knowledge and the information from the competitive market analysis to suggest a listed price. Once the price is agreed upon and the listing agreement is signed, the agent will then send the listing agreement and disclosures to the broker. The process of what happens after the listing presentation should also be explained to the seller/owner.
For instance, once the broker receives the listing agreement, the broker/owner will review it and sign it. The broker is responsible for getting the listing agreement back to the Realtor as soon as possible, so that the agent can not only provide the seller with the contract but also list the property on the MLS. The property needs to be listed on the MLS within 5 days after the broker signs the agreement. This begins the marketing period for the listing of the property.
All members of CAR and MORE Associations need to abide by the MRED rules and regulations. MRED will fine any agent that does not abide by the MRED rules and regulations.
Any change in listed price or other change in the original exclusive brokerage agreement shall be made only when authorized in writing by the seller. The change shall be placed on the MLS Service within 72 hours after the authorized change is received from the listing broker.
For all CAR members, listings of property may be removed from the service by the listing broker before the expiration date of the exclusive brokerage agreement provided the seller and the listing brokers authorized the cancellation in writing. For all MORE members, the broker and seller need to authorize a cancelation before it is canceled in MLS.
If notice or renewal or extension is dated after the expiration date of the original listing, then an updated exclusive brokerage agreement must be secured for the listing to be placed into the Service. Any extension or renewal of a listing agreement needs to be signed by the seller. According to the MRED rules and regulations, an email from the seller indicating what the new expiration date is will suffice.
Once a contract is accepted by the buyer and the seller, you need to change the status to PEND in the MLS. You have 72 hours from when the contract was accepted by the buyer to change status of listing without receiving a fine. This also includes short sale contracts that have been signed by the seller and buyer, however not yet signed by the bank.
If it is your listing and it closes, always make sure to close the listing out within 72 hours of the closing and give proper credit to the buying agent by filling out the buyer agent information on the MLS. The status should be changed to say CLOSED.
If you sell a listing that is not yours, then make sure that within 72 hours of the closing, that credit is given to you on the buy side and your name is listed as the buy agent.
All listings except vacant land, new construction, confidential commercial listings and deeded parking slips must have a primary photo in the system within seven days of their entry into the system. If no photo is submitted, the listing will be placed in the HOLD status.
This is a recap of the Multiple Listing service’s rules and regulations. OwnACondo.com has a responsibility to make sure that all the agents are abiding by the MRED rules and regulations.
Looking for condos at any time of the year is very tempting, but especially so in the summer months, in part because the pools, fitness centers and other upscale amenities that many condos offer are particulalrly inviting at this time of year.
As a general rule, home sales increase in the summer months, often because people with school-age children want to get settled in their new home before the new school year starts in September. But whether you have children or not, in many parts of the country, it is easier to move during the warm summer months than during the frigid winter. Plus, if you play your cards right and get lucky, you can get settled in before the winter sets in, and interest rates go up. While the economy is still recovering and not quite healthy, interest rates are remaining low for now, which should bode well for the real estate industry.
But speaking from a personal perspective, I know that even more than interest rates, the prospect of having to mow the lawn on a corner lot for another year has caused me to think seriously about moving to a condo, where the outdoor work is handled by a professional landscaper and I will have my weekends to myself. The monthly assessment would be well worth it. Judging by the number of people who have come to the open houses I have attended, a lot of similarly middle-aged people have the same idea about looking for condos.
Another good thing about condos and townhomes, is they come in a wide variety of styles and prices—and places too, so there is something suitable for everyone, no matter what they can afford or where they want to live geographically.
In short, searching for condos can be an adventure and a fun activity at any time of the year, even if you have not decided that you definitely want to buy one. You can keep your options open and just have a look at what is available, and perhaps pick up ideas for decorating your own home. If you are doing more than just looking, and are serious about buying, it is best to contact a professional Realtor®, because he or she can cut through a lot of red tape and find the ideal place for you.
There is also no need to be frightened off by the term "luxury condos," thinking the price might be unaffordable. You never know, they might have all the luxurious bells and whistles, but with a price that isn’t astronomical. Even if it is, you can find something out there that won’t put you in the poorhouse. get a lot of "bang for the buck." So relax and enjoy yourself, looking for condos.
You have found the condo of your dreams and are ready to buy but hold on. You need to do some homework before you buy and find the perfect condominium specialist. Not every real estate agent is a condominium specialist, in fact there are not that many. Your condo specialist can help you in many ways from showing you the properties in which you are interested all the way to getting the offer accepted and closing on that place you always wanted. But hold on, there are a lot of things to think about.
Buying a condo is different from most single family homes because they have an association which can mean living in a pleasant environment or that nightmare you often hear about but your condominium specialist can help you make the right decision. In regards to the condo association most people don't think about the association board meetings. This is where you can find out about all about what the owners may be complaining about from the plumbing to the gardener's absence. By getting a copy of the minutes of the association board meeting you will be able to tell what gripes the owners have and if the complex is having management difficulties. Even if there are no complaints the minutes can tell you the types of projects that are under way or on tap that the owner may have neglected to tell you. The minutes will also tell you the delinquency rates of the present owners which can be a sign of discontent or an indication the association might be underfunded.
When you are buying a single family home many people can do without an attorney but there is so much more involved when buying a condo. Contact a local real estate lawyer who is familiar with condo associations and have them look over the by-laws. Simple areas to investigate are if the association by-laws are consistent with state laws and do they coincide with the style of condo complex. Your lawyer can also screen the association at the local courthouse to see if any owners may have filed a lawsuit against it.
Finding the right condominium specialist can be easy. Go online and find the real estate company in your area who specializes in listing and selling condos. Their website should have a plethora of information regarding all the ins and outs of buying or selling your condo.
If you are moving to another city due to work with a desire to live in a vibrant city or whatever the reason make certain you find the right Realtor to help you find the right place. Most cities real estate markets are known for many types of developments so your choices can go anywhere from lake views, park-like settings, secure buildings or the hustle and bustle of downtown living.Â
Choosing the right Realtor can make all the difference in the world. Many cities contain some of the most culturally rich communities in the United States. Each neighborhood maintains a strong identity due to what immigrant population first settled the area and with the gentrification of many of these neighborhoods that original culture remains alongside many other diverse ethnic groups.   Most cities are partitioned into sections or neighborhoods and knowing where to look can be overwhelming. Most real estate  agents only know a few of these neighborhoods so you might have to talk with several companies to get a good feel for what area in which you might want to buy.
The neighborhoods or boroughs in many cities offers new construction as well as conversions of older brown and graystones and converted apartment buildings. The amenities in any of these can be quite diverse. Older buildings do not always mean older wiring or plumbing. The Chicago condo developers are ahead of most others using premier products and state of the art technology. Walking into some of the older conversions can seem like a walk in the past but underneath is an infrastructure of the highest quality and workmanship. Condos in many of these cities are known throughout the country for their design and quality.
Once you have decided upon where to live then you need a Realtor to provide you with everything you need to know to make a good decision. Most Realtors belong to the local Multiple Listing Service provider offering properties available for sale in the entire metropolitan area and the surrounding counties. They have up to date information about what's on the market and for how much, what has sold and for how much as well as what amenities might be included. The information they can provide will help you to make a good decision on where to live, the size of your condo, and how much to pay.
When you are looking to find the best place for you and your family, find someone with the Realtor designation. It symbolizes the expertise and professionalism you deserve when you home is at stake.
If you are looking to buy, sell or rent a place of your own. Then consider one of the many New York Condos. New York condos have many things to offer. New York has the largest population in the United States. New York is considered to be one of the most exciting cities in the world. Often times it is referred to as "The City that Never Sleeps" or even "The Big Apple". OwnACondo.com will soon be opening up an office in New York in addition to Chicago. And we will become known in New York as the best place to buy, sell or rent condos.
So if your are looking to buy, sell or rent a New York condo, in one of the five boroughs: The Bronx, Brooklyn, Manhattan, Queens, and Staten Island then call OwnACondo.com. Just like in other cities, New York condos are available in all sizes and price ranges. As part of our service to you, your OwnACondo.com Condominium Specialists work with you to determine what are the things that are important to you when you are buying a New York condo. If you are looking to sell your New York condo, then our Condominium Specialists look at the surrounding area and the condominiums that have been listed for sale and have closed. We then look at your individual situation. We do a free market analysis to determine how your New York condo should be priced. And in some situations, we recommend improvements to be made that would offer you the best return for your money. And we don't stop there. If you are looking to rent a condo in New York, our Condominium Specialists can help there too! We determine the amenities that are important and what borough would suit you and then we go to work seeking out that perfect condo for rent that you can call home.
Condominiums offer affordable, maintenance free living. So whether you are a Gen Xer, a Baby Boomer or a Senior, we can help be of service to you. Contact one of our Condominium Specialists today to help in determining which borough, what amenities and how much you can afford. It would be our privledge to find a place for you to call home. So if you are looking to buy, sell or rent a New York condo, then OwnACondo.com is at your service. You'll find out first hand why OwnACondo.com is the best place to buy and sell condos!
